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ECONOMY

Kenya’s Economy Remains Resilient as Economic Survey 2026

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Kenya’s Economy Remains Resilient as Economic Survey 2026

Kenya’s economy has demonstrated resilience and stability despite prevailing global and domestic challenges, according to the newly launched Economic Survey 2026.

Steady Economic Growth Recorded

The survey shows that Kenya’s Gross Domestic Product grew by 4.6 per cent, reaching KSh 16.2 trillion. This growth reflects sustained economic activity across key sectors, reinforcing confidence in the country’s economic trajectory.

Inflation eased to 4.1 per cent, remaining within the government’s target range, signalling improved price stability and effective monetary management.

Job Creation and Digital Growth

Kenya recorded the creation of 822,100 new jobs in 2025, highlighting continued recovery in the labour market and expansion of economic opportunities.

The digital sector also posted notable growth, with internet subscriptions rising to 64.4 million. Mobile penetration increased significantly to 146.99 per 100 people, underlining the country’s strong position in digital connectivity and innovation.

Government Reaffirms Policy Commitments

Speaking during the launch, Treasury Cabinet Secretary John Mbadi reiterated the government’s commitment to maintaining macroeconomic stability and accelerating inclusive growth.

He emphasised the role of the Bottom-Up Economic Transformation Agenda (BETA) in driving equitable development and improving livelihoods, while also stressing the importance of data-driven policymaking.

“Our policies, budgets, and reforms are only as strong as the data that underpins them,” he noted.

New Real Estate Index Introduced

The Economic Survey 2026 introduces the Residential Property Price Index (RPPI), a new tool aimed at enhancing monitoring of the real estate sector. The index is expected to provide critical insights to inform policy decisions and support sustainable growth in the housing market.

Positive Outlook for 2026

Looking ahead, Kenya’s economy is projected to remain resilient in 2026, supported by strong sectoral performance and ongoing reforms. The government expressed optimism that continued policy interventions and strategic investments will sustain growth and stability.

The Economic Survey remains a key instrument in guiding national planning and shaping evidence-based economic policies.